The Underutilized Benefits of A/B Testing in Your Paid Advertising Campaigns

The very first task when onboarding a new ads account is doing a deep-dive audit. One of the realities I find in most accounts in the lack of A/B tests or experiments conducted to try and improve the account performance. I’ve seen these issues across the spectrum from funded startups and Fortune 500’s. The benefits are generally known and widely accepted, but the lack of is rarely explained. Defining clear A/B tests can help improve account performance and set it up for sustainable growth.

Here are a few types of A/B Tests and the benefits, that can be quickly deployed:

Ad Copy Tests to improve CTR

Create a copy of the Ad, and define which elements you want to A/B test. In an RSA ad, I’d recommend testing a new headline and a new description. You can pin that headline and description to force rotation against the other ad you’re testing. In other ad types, choose a different image, or a different video or other asset you want to test with. Clearly label the ads and start testing. Depending which engine/channel you’re using, you may be able to distribute traffic evenly, or let the algorithm rotate automatically. Testing ad copy can help you improve your Click Through Rate (CTR). A more relevant ad, will generate more clicks and thus more visitors to your landing page.

Landing Page tests to improve CVR

You can choose to split traffic 50/50 between your current landing page and a challenger landing page to see if you can improve the conversion rate (CVR). The challenger page could have a different layout, different colors, perhaps different intro text, additional assets such as trust icons, reviews or different form fields. Secondary testing can lead to testing different offers, price points or packages. A list in Conversion Rate, means you are getting more sales at a lower cost per sale.

Geographic Targeting tests to improve regional offers

Different markets may respond differently to your products. Luxury goods may resonate differently to customers in Florida, New York and California than to customers in the Midwest. Segmenting and testing geographic regions can help you determine which messaging/strategy works better in which market. You can report on your current location performance in Google Analytics or Google Ads to see each market’s conversion rate. If you can test and optimize, you may be able to improve your traction in under-performing markets while maximizing traction in your best markets.

Other Tests to try

Other tests could include Day of Week and Time of Day tests. You can try audience segmentation tests, Campaign split by Device tests, Broad KW tests and seasonal or promotional tests.

Takeaway

With many potential areas for A/B testing, it’s value cannot be overstated. It’s not just about tweaking a headline or changing a button color, but more about a comprehensive approach optimization strategy that spans multiple facets of your paid advertising accounts. The benefits are several and can result in significant performance gains, cost-saving and ROI improvement.